Four of the biggest tech stocks are weakening today after several of them reported decent earnings. And they're weighing on the rest of the market. Chart 1 shows Amazon.com (AMZN) falling to the lowest level in a month. Chart 2 shows Apple (AAPL) doing the same. Chart 3 shows Microsoft (MSFT) also moving closer to its September low. Chart 4 shows Facebook (FB) falling below its 50-day average and starting to weaken as well. The only bright spot is Alphabet (GOOGL) which is trading higher today. Stock indexes are under pressure and appear headed toward a retest of their September lows. The Dow Industrials are trading below their September low in morning trading and testing their 200-day moving average (see Chart 5).
About the author:John Murphy is the Chief Technical Analyst at StockCharts.com, a renowned author in the investment field and a former technical analyst for CNBC, and is considered the father of inter-market technical analysis. With over 40 years of market experience, he is the author of numerous popular works including “Technical Analysis of the Financial Markets” and “Trading with Intermarket Analysis”. Before joining StockCharts, John was the technical analyst for CNBC-TV for seven years on the popular show Tech Talk, and has authored three best-selling books on the subject: Technical Analysis of the Financial Markets, Trading with Intermarket Analysis and The Visual Investor.